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Packaging Corporation of America (NYSE: PKG), Lake Forest, IL, reported second quarter 2011 sales of $655 million, up 8 percent from the same period in 2010. Profit was $39 million.
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Corrugated products shipments were up 3.2 percent, and outside sales of containerboard were up 22,000 tons compared with last year’s second quarter. Containerboard production was 606,000 tons, up 17,000 tons over the second quarter of 2010. Containerboard inventories at the end of June were 18,000 tons below the end of the first quarter and 25,000 tons below 2010 year-end levels.
Mark W. Kowlzan, CEO of PCA, said: “The mills performed exceptionally well with higher productivity and lower costs than expected. Our containerboard and corrugated products demand remained strong, pricing remained steady, and mix improved, as expected, over the first quarter. Cost inflation for input materials continued, however, and remains a concern.”
PCA is the fifth largest producer of containerboard and corrugated packaging products in the U.S.
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